Skip to main content

Countries Making Foreign Direct Investments in India

 
Along with being a critical economic driver of economic growth, Foreign Direct Investment is a major source of non-debt financial resource for the economic development of the country. Foreign companies investing in India take advantage of relatively lower wages, special investment privileges such as tax exemptions, etc. The Indian government’s policy regime and robust business environment ensure the uninterrupted flow of capital into the country, enabling increased joint ventures in India 

According to the Department of Industrial Policy and Promotion (DIPP), the total FDI investments in India in the months of April-June 2018 stood at USD 12.75 Billion. This proves that the government’s effort to improve the ease of doing business and relaxation in FDI is yielding results. As per a trade view released by The Commonwealth in 2018, India emerged as the top recipient of Greenfield FDI inflows from the Commonwealth. 

Here is a list of the top countries that have invested in India and procured the benefits of the rapidly growing economy-  

  • The United States of America- The U.S. is known to be India’s biggest believer, with around 1100 deals in the country. Lockheed Martin teamed up with Tata Advanced systems on its C-130 Hercules, considering opening a maintenance facility in the country. Coca-Cola announced its intention of investing $5 Billion over the next six years, two years ago. Following Indian Prime Minister, Narendra Modi’s speech, General Electric CEO, Jeffrey Immelt said that India was a great place to invest. Immelt said, “GE is a long-term investor in India. We look forward to more in the future.” The American multinational is investing $2 Billion in two new assembly plants in India. In the month of June, Cisco investments claimed that it is planning to invest $40 Million in the Indian start-ups. Ranging from FMCG to the Automobile sector, international business firms have acquired a major portion of the Indian economy.  

  • Germany- German companies have 361 ongoing FDI deals in India. Volkswagen, the major German player in the automobile industry revealed its plans of investing upwards of $250 Million in India over the next five years. The ‘strategic partnership’ between India and Germany strengthened with the Intergovernmental Consultation (IGC) between the two governments that aim at increasing cooperation and identifying potential areas of investment. Indian exports from Germany increased from US$ 9.9 Billion in 2007-8 to US$ 11.5 Billion in 2016-17, accounting for 30.35 percent of India’s total imports from EU countries. The major investments in India from Germany are noticed in the sectors of transportation, electrical equipment, metallurgical industries, service sectors, chemicals, construction activity, trading, and automobiles.  

  • United Kingdom- India had 380 FDI deals originating from the UK over the last year. One of the largest investment of the UK was made by Diageo at $1.9 Billion in order to take control of the United Breweries. 

  • Italy- Italy has made 57 investments in India recently. Fiat Chrysler Automobiles, the world’s eighth largest automaker said that as part of a billion dollar investment in India, it plans to manufacture a premium sports utility vehicle under the Jeep brand and then export it to the U.K., Australia, and South Africa within the next two years. 

  • Switzerland- Investments made by Switzerland in India reached 103 the last year, the majority of them being from the financial sector. Partners Group, the private investment firm in Switzerland having over $30 Billion under management worldwide, opened its first office in Mumbai in the month of May. Switzerland has accounted for a total of $2.4 Billion, which is 1% of the total FDI flow into India. 

  • FranceFrance has made 138 new Foreign Direct Investments in India. GDF Suez, the French multinational electric utility company continues to invest in power plants as a majority stakeholder. 
The established giants have already drenched the Indian market, considering the continuously growing scopes and spaces for them to grow. India is a huge depository of skilled yet cheap labor. This makes it easy for foreign companies to optimize their production in India, thereby attracting the global firms to establish and/or expand their business in India. 

Website:  www.tecnovaglobal.com 

Ref Links 
https://www.ibef.org/economy/foreign-direct-investment.aspx 
https://www.forbes.com/pictures/hkgl45gk/no-7-switzerland/#3e3421173357 
http://www.makeinindia.com/five-countries-that-are-making-big-in-india 
https://ciiblog.in/india-germany-trade-and-investment-relations/ 



Comments

Popular posts from this blog

Pharmaceutical and Healthcare Consulting Services for German Companies for Indian Market

For Germany Companies, German manufacturer-Retailer-Franchise - Market Research India, Healthcare Consulting - Healthcare & Pharma Regulatory Consulting Firms in India PHARMACEUTICALS & HEALTHCARE CONSULTING | pharma consulting companies in india | pharmaceutical consulting india| Pharmaceutical Regulatory Consulting Firms in India|top pharmaceutical consulting firms in india|Healthcare & Pharma Regulatory Consulting Firms in India Regulatory Affairs: Pharmaceutical and healthcare consulting firms can help German companies navigate the complex regulatory landscape in India. This includes obtaining necessary licenses, approvals, and registrations with Indian regulatory authorities such as the Central Drugs Standard Control Organization (CDSCO). Market Research : Pharmaceutical and healthcare consulting firms can conduct comprehensive market research to help German companies understand the Indian healthcare market. This includes analyzing market trends, identifying potent...

How Indian Sourcing Can Be Beneficial for Foreign Companies.

In today's globalized economy, businesses are constantly seeking new avenues for sourcing products and services to remain competitive. How Sourcing from India Can Benefit Foreign Businesses Why is Sourcing from India Beneficial for Foreign Companies? Foreign organizations can get multiple benefits by  sourcing from the Indian market . Some of them are as follows: Cost-Effectiveness Skilled Workforce Wide Range of Products and Services Robust Manufacturing Infrastructure Access to a Growing Consumer Market Favorable Government Policies Cultural and Geographical Advantage

Bright days ahead for India: Unmatched ROI 2021 from Emerging Indian Market 2021

AN UNMATCHED ROI POOL FROM THE EMERGING INDIAN MARKET IN 2021. India has been one of the fastest-growing Asian economies in the world over the last few years. Some of the major stimuli to this growth are the rising demands of a large consumer base and significant development of the IT and manufacturing sectors. Most attractive: Indian Emerging Market Factors that are promoting this accelerated growth of the Indian Emerging Market Here are some of the essential factors contributing to India’s competitiveness and scope for an unmatched ROI pool. Geographic advantages Strong support of Infrastructure Expected infrastructure development Low-cost skilled labor Suppliers of Raw Materials Impressive logistics capabilities Favorable Government Initiatives Product Linked Incentive Scheme (PLI) 100% Foreign Direct Investments Tecnova, one of the  leading business setup consultants in India , offers you personalized India market entry consulting services which include: Structuring a corporate...